All Forum Posts by: Brian Cousins

We are going in with a Cash offer, the money partner will be responsible for all costs associated with the rehab, When the property is put on the market, we will split the carry costs, tax, and electric. The money partner is pretty much going to be a silent investor. I will be handeling all the day to day work, and provide her with a statement at month end. I will be on property daily, and do 90 percent of the work myself.

I am getting into a flip with a partner, the partner is buying the property under their name, they have the cash, I am working on rehabing and then we are going to sell. How can this be set up so when we go to sell 1.) we will each get our portion of the profit. 2.) easiest and cheapest way to add title 3.) set up so by adding me to title is not constituted as a gift, in which they will be paying taxes on.

I am starting a new property with an investor, They are going to front the money, while I am going to rehab the property. I want to keep this investor happy, as this is our first deal and could be potentially a good partnership. After all expenses are taken out, what would be a fair split of profits?

When you say private money are you talking investors, or finding brokers that specialize in LTV rehab loans. I tried to cruch the numbers with broker loans, however the fees were way to high to justify these loans. In my area, there is no one that puts out a good product. The two options are new build, and older seasoned homes. The market has not been hit that bad here, but again we never saw the jump that most places did. If I am going to be investing in the 100k range houses, how much capital would i need before I can go at this full time?

I read on here about everyone over extending themselves, in hopes that when they get their property ready for market, first they can get the value that they hope out of it, and second that they can sell the property in a relatively short time.
I am going about this a different way and wonder if I should be taking more chances. I bought my first property through a HUD forclosure in my area. I got a great deal and even pricing this to sell in a week could still make 65K from this property. However I am going to hold onto this as I only need a few more month before a hit that sweet 2 year tax free mark. My plan is to take the money from this sale and use this to buy and fix my next property, which again I will live in for 2 years before I sell (gotta love tax free) By this time I should have anywhere between 100-150K. Part of this will be used to buy another house to live in and part will allow me to quit my job and start rehabing full time. In the mean time, I am working with a financial partner and we are searching for deals to flip. They are just looking for something to do and I am looking to add some cash to the start up fund. Am I being to conservative, should I risk it by myself after I sell this property? I am able to do all the rehab work myself so my reno budgets are much smaller than most. Just wondering what some professional investers are thinking. I would like to get going full time ASAP however I dont want to get overextended, as I tend to see this with a large amount of forclosures that I look at, people get started without the funds, blow through what they have and then they are out of options.